The result follows two consecutive increases in the index – a 10.9% increase on 1 September and a 14.8% increase on 18 August.
All dairy commodities, except butter milk powder, experienced an increase in price, with New Zealand’s flagship whole milk powder up the highest at 20.6%. Skimmed milk powder followed behind at 17%, followed by anhydrous milk fat, which increased by 13.7%.
Butter prices were up by 13.3%, while cheddar prices rose by 10.7%.
The three consecutive increases come after 10 consecutive drops in the auction since March 2015.
Although Tuesday's price increase will naturally be welcomed by those in the industry, just 36,050t of product was sold today compared with 50,801t sold this time last year, meaning the increase might not accurately reflect farmgate price.
It was the same for the previous two auctions, with just 35,865t of product sold on 1 September and just under 37,000t offered on 18 August. That’s a reduction of over 40,000t from the volumes sold in the corresponding auctions last year and a reduction of 10,000 on the tonnage offered at the beginning of August 2015.
Milk price cuts
The results of today's trade could also be expected to exert some influence over the decision of Irish dairy processors to cut or hold the milk price for August. Two dairy processors have already announced their milk price for last month: Lakeland Dairies, which cut its August milk price by 0.75c/l to 26.25c/l, and Kerry Group, which held its milk price at 26c/l.
The latest data from Europe’s Milk Market Observatory shows that milk price declines in Ireland for the month of July were among the worst across the EU.
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Supply down and prices up at GDT auction
The result follows two consecutive increases in the index – a 10.9% increase on 1 September and a 14.8% increase on 18 August.
All dairy commodities, except butter milk powder, experienced an increase in price, with New Zealand’s flagship whole milk powder up the highest at 20.6%. Skimmed milk powder followed behind at 17%, followed by anhydrous milk fat, which increased by 13.7%.
Butter prices were up by 13.3%, while cheddar prices rose by 10.7%.
The three consecutive increases come after 10 consecutive drops in the auction since March 2015.
Although Tuesday's price increase will naturally be welcomed by those in the industry, just 36,050t of product was sold today compared with 50,801t sold this time last year, meaning the increase might not accurately reflect farmgate price.
It was the same for the previous two auctions, with just 35,865t of product sold on 1 September and just under 37,000t offered on 18 August. That’s a reduction of over 40,000t from the volumes sold in the corresponding auctions last year and a reduction of 10,000 on the tonnage offered at the beginning of August 2015.
Milk price cuts
The results of today's trade could also be expected to exert some influence over the decision of Irish dairy processors to cut or hold the milk price for August. Two dairy processors have already announced their milk price for last month: Lakeland Dairies, which cut its August milk price by 0.75c/l to 26.25c/l, and Kerry Group, which held its milk price at 26c/l.
The latest data from Europe’s Milk Market Observatory shows that milk price declines in Ireland for the month of July were among the worst across the EU.
Related stories
Supply down and prices up at GDT auction
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